Demand for new-build homes up 114%, Daft report shows
Demand for new-build homes jumped 114% in May when compared to the same month last year, according to new figures from property listings website Daft.ie.
When all homes were taken into account, the data shows that demand nationwide was 17% higher than it was 12 months ago.
Demand for homes in Dublin saw the strongest growth, up 34%, while demand for new homes across the county jumped 99%.
Meanwhile, demand for homes in Meath increased by 29%, while demand in Limerick and Offaly jumped 26%.
18 of the 26 counties examined across the country by Daft.ie saw an increase in demand compared to the same time last year.
To assess the demand, Daft.ie looked at growth and change in enquiries sent on property listings across their property sales section on the website.
The findings shows that demand for homes differed based on the value of the property.
Homes with a listed price of between €400,000 and €600,000 saw the largest increase in demand of 38%.
New homes within the price bracket of €400,000 to €500,000 saw a surge in demand of 1,783%.
The report states that the reason why this price point has seen the largest increase is due to the help-to-buy scheme qualifying criteria, whereby the purchase value of the house must be €500,000 or less.
The data shows that demand for homes with listings between €200,000 and €400,000 increased by 24%, while new homes in this price range increased by 186%.
Homes ranging in price from €600,000 to €800,000 recorded growth of 20%, with new-build homes up 251%.
Demand for homes with a value of over €800,000 was much lower, but still demand for these properties increased by 2%, while demand for new homes at this price range jumped 160% compared to the same time last year.
Taking a closer look at the regional breakdown, the figures show that demand for homes in Leinster was up 26%, while Connacht-Ulster was up 15% and Munster was up 6%.
Within these provinces, Connacht-Ulster saw the strongest growth for new homes at 110%, followed by Leinster at 75% and Munster at 69%.
Demand in three of the four cities outside Dublin also saw a heightened level of demand compared to last year – by 26% in Limerick, 13% in Cork and 9% in Galway.
Similar is said for the demand for new homes in these three cities with Galway showing the highest demand for new homes nationwide at 160%.
Limerick and Cork saw similar increases in demand for new homes, with Cork experiencing an 88% increase while Limerick is at 84% compared to the same period last year.
Today’s report highlights that supply has not increased enough to meet the growing demand.
“The Irish housing market is in desperate need of increased supply over years and indeed decades to come,” the report states.